๐ Multisig Treasury: Shared Control
Learn how M-of-N signatures secure DAO funds
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0 / 5 completed๐ The Multi-Sig Problem
Single-key wallets are dangerous for treasuries. One compromised key = total loss. No human error protection. No recovery mechanism. When a DAO holds $50M+ in one wallet controlled by one person, it's a ticking time bomb. Multi-signature wallets solve this: require multiple approvals for every transaction.
๐ Real Disasters
- โข Parity Wallet 2017: Library self-destruct killed $300M in multi-sig wallets (smart contract bug, not key compromise)
- โข Ronin Bridge 2022: 5-of-9 multi-sig, hackers compromised 5 keys โ $600M stolen (validator key concentration)
- โข Numerous DAOs: Single signer goes rogue, disappears, or dies โ funds locked forever
๐ฎ Interactive: Multi-Sig Security Calculator
Explore how threshold requirements protect against compromised keys. Adjust signers, threshold, and attack scenarios.
Good security with 2-key buffer. However, 1 keys are already compromised. One more breach and you're 1 key away from total loss. Consider rotating compromised keys.
๐ค Why Multi-Sig?
- โข Single key compromise (phishing, malware)
- โข Rogue insider attacks
- โข Human error (wrong address, fat finger)
- โข Loss of access (death, disappearance)
- โข Smart contract bugs (Parity library bug)
- โข Coordinated attacks (5 of 9 compromised)
- โข Social engineering (all signers tricked)
- โข Centralization (all keys held by one entity)
๐ก Key Insight
Multi-sig isn't just about number of keysโit's about distribution and independence. A 3-of-5 multi-sig where one person controls 3 keys is worthless. A 5-of-9 where all 9 signers are validators on the same network can be compromised together (Ronin). Real security requires: geographically distributed signers, independent key management, diverse entities, and operational security.